The test measures product characteristics through scoring them between 0
points (lowest) to 10 points (highest). The more virtual a product is, the
higher its e-retail appeal and therefore the higher the score. In the same
manner, the more physical a product is, the lower the e-retail appeal and
therefore the lower the score. This evaluation is based on the principle that
virtual products are more suitable for e-retail than physical products. For
example, products such as clothing and shoes that could require the utiliza-
tion of the senses of sight and touch have a lower score than products that are
more virtual such as insurance and banking.
In the framework of this test, however, we can say that luxury goods can
be classified as ‘virtual’ because consumers evaluate them mainly through the
abstract qualities of brand perception and brand relationship. Also, the utiliza-
tion of atmospheric elements in the e-store design influences the ‘virtual’
nature of assessing luxury goods online.
Familiarity and confidence
This criterion is measured by considering the consumer’s feelings of famil-
iarity and confidence in products and services based on previous use, satis-
faction and brand reputation. A consumer who is confident about the products
of a brand is likely to purchase them online without feeling a strong need to
physically handle the goods pre-purchase. This relates to the fact that luxury
consumers that are most likely to purchase goods online are those that already
have an existing relationship with a brand.
The scoring in this category ranges from 0 points (lowest) to 10 points
(highest). Sensory goods are scored high as there is often an advanced level
of familiarity and confidence towards them. For example, consumers are
more likely to buy sensory goods like fragrance, cosmetics or leather goods
from brands that they are already familiar with.
Consumer attributes
Consumer attributes identify the characteristics that shape online consumer
behaviour. This factor is weighted higher (0–30 points) because consumers’
attitudes have greater influence on purchase decisions. It measures the
percentage of the target consumers’ responsiveness to e-retail. It is scored
from 0 (non e-responsive) to 30 (90 per cent e-responsive).
A sample ES test is provided in Table 6.2. It highlights the e-retail poten-
tial of sensory goods. A total score of 30 and above indicates likely e-retail
success.
The sample ES test indicates that several goods in the portfolio of luxury
brands are suitable for e-retail. This shows the viability of the e-retail of
luxury fashion goods.
chapter 6 193digital luxury